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New York Times: SEC Accuses Mark Cuban of Insider Trading

New York partner John Carney was quoted in a November 17 New York Times article, "SEC Accuses Mark Cuban of Insider Trading."

According to the article, the Securities and Exchange Commission (SEC) has charged Mark Cuban, the billionaire Internet entrepreneur and owner of the Dallas Mavericks basketball team, with insider trading for selling 600,000 shares of an Internet search engine company, Mamma.com.

The SEC alleges that Cuban sold the stock based on nonpublic information about an impending stock offering and the he avoided losses in excess of $750,000.

Carney, who is former senior counsel at the SEC and a former chief of the securities fraud unit of the U.S. attorney's office in New Jersey, said the commission's action was "the beginning of a long process . . . There is going to have to be discovery, depositions, lots of conferences with the court, pretrial hearings. A trial in a case like this could drag out for years."